Meat + Poultry - June 2016 - 8

C O M M E N TA R Y

The wage wedge
Having returned from nearly two weeks in Germany
visiting customers and attending IFFA, one of the many
take-away themes was the continued emphasis among
suppliers on developing even more applications for
automation. Another, somewhat related, mantra was the
universal issue of labor concerns; including recruiting,
retaining, training and the rising cost of maintaining
employees among the supplier
segment of the industry as
well as in processing plants
across the globe. One major
supplier of packaging supplies
and equipment is expanding its
manufacturing operations by
building a multi-million euro plant
in Bulgaria, primarily because of
the availability and lower cost of
labor there and the challenge of
hiring affordable, willing-to-work
prospective employees in the labor
pool in and around Germany.
This comes at a time when,
in the US, there is a groundswell
As employers
of support among labor
in the
groups pressuring employers
foodservice
in the foodservice and retail
segments to increase wages
industry
paid to workers. These groups,
are forced
including the Fight for $15, have
to increase
successfully lobbied and organized
nationwide workplace walkouts
hourly wages,
something has and orchestrated protests that
have resulted in several states,
got to give,
including New York and California
to raise minimum wages as high as
and it is.
$15 per hour.
This all came full circle while returning home from
Germany, during a layover in New York's La Guardia
Airport. It wasn't the first time I've seen iPads used in
place of traditional menus, diminishing the reliance on
labor, presumably in the name of convenience. It was,
however, the first time I realized real-life affirmation of

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MEAT+ POULTRY | 06.16 | www.meatpoultry.com

my long-held premise that eventually, as employers in the
foodservice industry are forced to increase hourly wages,
something would have to give. It makes sense that the
industry would respond and that cutting its labor costs is a
logical target.
Dining at what appeared to be a traditional restaurant
in one of the aging airport's terminals, I was quickly
poured a glass of water and given a 10-second introduction
to my electronic waiter, sommelier and cashier. In a
series of touches and swipes on the iPad my entrée and
drink were ordered and paid for in a matter of seconds,
with practically no human interaction, which obviously
means a more efficient and cost-effective operation.
While waiting and hoping my "swipe-and-touch" meal was
being prepared, I noticed several kiosk-style bars in the
terminal where road-weary travelers could belly up to an
iPad-hosted bar to order their favorite libation. Wthout
any human interaction, the two bartenders frantically
worked behind a counter, filling orders from a printer that
kept them pouring drinks and quickly delivering them
to the seat number on the receipt. Right about then, a
random person toting a plate of food and reading a receipt
to figure out where my order should be delivered, emerged
from the masses of travelers toting Samsonites and slid
the plate on my table, without the need for eye contact
or conversation.
Suddenly the benefits I'd heard for the past two weeks
from many automation-centric equipment company
representatives began echoing in my head: Automation
and robots eliminate sick days, save companies money on
benefits, ensure consistency, improve food safety, etc...
It's a fine line that is navigated between different segments
of the food industry when it comes to the efficiency
and cost savings that is realized with state-of-the-art
technology and the human touch that offers the intangible
benefit at many different levels. I think the writing is
on the wall and while there will always be a place for
traditional, labor-intensive operations in the food industry,
the New World Order includes a lot more touchscreens
and finger swipings and much less reliance on face-to-face
interaction and the human touch.
J O E L C R E WS, E D I TO R | j c r e w s @ s o s l a n d.c o m
http://www.meatpoultry.com
Meat + Poultry - June 2016

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